Walkenhorst Company's machining department prepared its 2022 budget based on the following data: Practical capacity 40,000...

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Walkenhorst Company's machining department prepared its 2022 budget based on the following data: Practical capacity 40,000 units 2 $ 3.00 per machine hour $ 432,000 Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead The department uses machine hours to apply factory overhead to production. In 2022, the department used 85,900 machine hours and incurred $699,000 in total manufacturing overhead cost to manufacture 42,080 units. Actual fixed overhead cost for the year was $448,000. Required: Determine for the year: 1. The fixed, variable, and total factory overhead application rates (per machine hour). (Round your answers to 2 decimal places.) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022. 3. The production volume variance. State whether this variance was favorable (F) or unfavorable (U). 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U). 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U). 6. The variable overhead spending variance and the fixed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U). Answer is complete but not entirely correct. 1. Fixed overhead application rate $ 24.60 X Variable overhead application rate $ 3.00 Total factory overhead application rate $ 24.60 x 23 Total flexible budget for overhead cost $ 684,480 Production volume variance $ (1,385,856) Favorable 4. Total overhead spending variance $ 9,300 Unfavorable 5. Overhead efficiency variance $ 5,220 Unfavorable 6. Variable overhead spending variance $ (6,700) Favorable Fixed overhead spending variance $ 16,000 Unfavorable Walkenhorst Company's machining department prepared its 2022 budget based on the following data: Practical capacity 40,000 units 2 $ 3.00 per machine hour $ 432,000 Standard machine hours per unit Standard variable factory overhead Budgeted fixed factory overhead The department uses machine hours to apply factory overhead to production. In 2022, the department used 85,900 machine hours and incurred $699,000 in total manufacturing overhead cost to manufacture 42,080 units. Actual fixed overhead cost for the year was $448,000. Required: Determine for the year: 1. The fixed, variable, and total factory overhead application rates (per machine hour). (Round your answers to 2 decimal places.) 2. The total flexible budget, for factory overhead cost based on output achieved in 2022. 3. The production volume variance. State whether this variance was favorable (F) or unfavorable (U). 4. The total overhead spending variance. State whether this variance was favorable (F) or unfavorable (U). 5. The overhead efficiency variance. State whether this variance was favorable (F) or unfavorable (U). 6. The variable overhead spending variance and the fixed overhead spending variance. State whether each variance is favorable (F) or unfavorable (U). Answer is complete but not entirely correct. 1. Fixed overhead application rate $ 24.60 X Variable overhead application rate $ 3.00 Total factory overhead application rate $ 24.60 x 23 Total flexible budget for overhead cost $ 684,480 Production volume variance $ (1,385,856) Favorable 4. Total overhead spending variance $ 9,300 Unfavorable 5. Overhead efficiency variance $ 5,220 Unfavorable 6. Variable overhead spending variance $ (6,700) Favorable Fixed overhead spending variance $ 16,000 Unfavorable